The court agreed coverage was barred by the exclusions for defective workmanship or defect in design, plan, or specification. The court further held that the “ensuing loss” exception to the exclusions did not apply. The court explained that the exception applies only when an excluded peril spawns a second, independent and insured peril, which in turn causes the loss for which the insured claims coverage. The court agreed with our argument that no second, independent and insured peril produced the cracks on which the insured based its claim for coverage.
Results
Olympic and Georgia Partners v. Arch Specialty Insurance Co. (2016)
Horvitz & Levy LLP successfully defended a summary judgment for its clients, a consortium of insurers, in a case arising from a multi-million-dollar claim under a Builder’s Risk policy for the cost of removing and replacing cracked stone floor tiles in the Ritz-Carlton residences at L.A. Live in downtown Los Angeles.
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